SUMMARY
This Idea Brief proposes the creation of a low-interest emergency bridge loan program to provide temporary financial assistance to responsible homeowners having trouble making mortgage payments due to job loss or reasons beyond their control.
As unemployment surges, a growing number of homeowners with previously affordable, traditional mortgages are finding themselves out of work and with no way to repay their loans. These borrowers did not take out exotic mortgages but are still facing foreclosure for reasons beyond their control. Existing federal anti-foreclosure efforts are directed mainly at helping homeowners improve the conditions of unaffordable loans, and are not well-suited to the needs of responsible borrowers who simply need short-term assistance.
This Idea Brief proposes to address that need by creating a low-interest emergency bridge loan program.
